Impact of the Erasmus+ programme - European Parliament

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BRIEFING
European Added Value in Action

      Impact of the Erasmus+ programme
SUMMARY
The European Union (EU) Erasmus+ programme for education and training has a total budget of
€16.45 billion for 2014-2020. It provides opportunities for learners and practitioners to gain skills
and undergo personal, socio-educational and professional development through study, training,
work experience or volunteering abroad. Erasmus+ actively builds positive attitudes towards the EU
and contributes to the development of a European identity across all funded activities.
Member States would not be able to achieve such effects acting alone. No other programme,
funding mobility or cross-border cooperation offers comparable scale and scope in the EU.
This briefing considers the mid- and long-term
effects of the budget invested in Erasmus+ actions       Figure 1 – Intervention Logic
to increase social mobility in the European Union. It
considers the effects of the programme during the
budgetary period now coming to a conclusion, and
therefore refers to the EU-28 prior to
United Kingdom withdrawal from the EU.
Different actions under the Erasmus+ programme
are expected to deliver results at more than one
level. For instance, the mobility of learners and
practitioners (KA1 – See Figure 1) can, in addition to
individual-level results, improve the performance of
educational organisations, especially in terms of
outcome recognition (KA2 and KA3). Figure 1 shows
the intervention logic and spill-over effects. 1
Erasmus+ contributes to the objectives of the            Source: European Commission 2015.
Europe 2020 strategy,2 and more specifically to the
strategic framework for European cooperation in
education and training (ET 2020).

Financing Erasmus+ in the 2021-2027 multiannual financial
framework
The strategic framework for European cooperation in education and training (ET 2020) provides
common strategic objectives for EU Member States. For 2020, for higher education (HE) mobility the
benchmark defined 3 is that at least 20 % of higher education graduates should have experienced a
period of higher education related study or training (including work placements) abroad. Member
States also set a benchmark for learning mobility in vocational education and training (VET),
whereby, by 2020, at least 6 % of VET graduates should have undertaken VET related study or a
training period abroad (including work placements).

                   EPRS | European Parliamentary Research Service
                                      Author: Klaus Müller
                                  European Added Value Unit
                                   PE 642.812 – April 2020                                              EN
EPRS | European Parliamentary Research Service

                            Benchmark       Graduates in           Erasmus+            Benchmark
                             for 2020          2016           participants in 2016   reached in 2016
 Higher education                 20 %           4 500 000              320 000                7%
 Vocational education and
                                   6%            2 800 000              140 000                5%
 training
Source: European Commission, (Eurostat) and author's own calculation
Erasmus+ delivers the most relevant systematic and financial support to reach these benchmarks in
the EU.
      HE: In 2016, there were 4.5 million graduates with tertiary education in the EU-28. The
      number of HE-participants in KA1 awarded projects was approximately 320 000.
      Erasmus+ mobility accounts for about 7.1 % of the HE graduates in the EU;
      VET: In 2016, there were 2.8 million upper secondary vocational graduates across the
      EU-28. The number of VET-participants in KA1 VET awarded projects was approximately
      140 000. Erasmus+ mobility accounts for about 5 % of the VET learners in the EU.
The Youth programme has proved its ability to reach particular participants with special needs and
fewer opportunities including young people with fewer opportunities, reaching out to more than
30 % of beneficiaries by applying inclusive, non-formal learning approaches, i.e. targeted groups
under-represented in Erasmus+ could significantly profit from increased support.
Mobility for school students was no longer possible under KA1 in the 2014-2020 programming
period, but is envisaged for the 2021-2027 multiannual period. However, this will require an
additional budget allocation.4

European added value of Erasmus+
Cost-effectiveness
According to Erasmus+ statistics, grants per student (HE) in 2017 were €1 715 on average, with a
wide differentiation in amounts granted between programme countries.
      Grants ranged from €1 161 in France, €1 307 in the Netherlands, €3 138 in Estonia, to
      €3 657 in Cyprus. On average, support is higher for students from southern and eastern
      Europe, which can be seen as a contribution to social and territorial cohesion;
      Erasmus+ students are exempted from tuition fees, which can amount to more than
      €3 000 per year. 5
However, grants are relatively small in relation to the substantial impact of the programme on
individual educational progress.

Impact on unemployment
      In eastern Europe, Erasmus+ students are more than five times (83 %) less likely to
      experience long-term unemployment than those not participating in the programme;
      In southern Europe, former Erasmus+ students are half as likely to experience long-term
      unemployment compared to those who have not benefited from the programme.
      Erasmus+ students in southern Europe are employed much more frequently even
      5-10 years after graduation, with 56 % less unemployment.
From 2014 to 2018, the unemployment rates for young adults (25-29 years) with tertiary education
decreased by more than 30 % in the EU-28. This decrease was moreover significantly above average
in eastern and southern Europe. While the Erasmus+ programme benefits regions with the greatest
needs, it is important to mention that the lower unemployment rate for Erasmus+ students did not
lead to higher unemployment for non-Erasmus+ participants: the unemployment rate decreased
for young adults (25-29 years) with tertiary education overall.

2
Impact of the Erasmus+ programme

Figure 2 – Unemployment rates for young adults (25-29 years) with tertiary education
(ISCED levels 5-8), 2014-2018

 40
 30
 20
 10
  0
                          Netherlan…

                                                                                                                                                                                  Luxembo…
                                       United…

                                                                                                                                                      Latvia
                                                                                                                                            Finland

                                                                                                                                                                                                                                                                 Italy
                                                                                                                                                                                                                                                       Croatia
                                                                                 Poland

                                                                                                                                                                                                                            Denmark
                                                 Lithuania

                                                                                                    Bulgaria

                                                                                                                                                                       Slovakia

                                                                                                                                                                                                                                      Cyprus
                                                                                                                                                                                                      Slovenia
                                                             Germany

                                                                                          Romania

                                                                                                                                                               EU 28

                                                                                                                                                                                                                 Portugal

                                                                                                                                                                                                                                                                         Greece
                                                                                                                                                                                                                                               Spain
                                                                       Austria

                                                                                                                                                                                             France
                                                                                                               Belgium
                                                                                                                         Ireland
                Czechia

                                                                                                                                   Sweden
      Hungary

                                                                                                                               2014               2018

Source: Eurostat and author's own calculations.

Impact on employment
Work placements seem to have a particularly direct and positive impact on finding a job, with one
in three Erasmus+ students on average offered a position by their host company. In southern
Europe, this share even increases to almost one in two students, with Italy (51 %) and Portugal (47 %)
leading.
Figure 3 – Job offers through a work placement abroad, Erasmus alumni

Source: European Commission, Erasmus impact study: regional analysis, 2016.
Beneficiaries of VET and HE opportunities experience a shorter transition to employment than
others. According to a combined evaluation of Erasmus+ and predecessor programmes from 2017,6
the percentage of participants in Erasmus+ who took less than three months to find a job was
68.5 %, while the overall percentage (Erasmus+ and non-Erasmus+) was 59.2 %.
Students with a higher education are also more likely to secure management positions. On
average, 64 % of Erasmus+ students, compared to 55 % of their non-programme peers, hold such
positions within 5-10 years of graduation. This is particularly the case for Erasmus+ students from
central and eastern Europe, where around 70 % obtain managerial positions. 7
Since 2014, the employment situation for young adults with tertiary education has improved
significantly. The rate is lower than 80 % in only three Member States. In 10 Member States,
employment is equal to 90 % or above, with an above-average increase in southern Europe.

                                                                                                                                                                                                                                                                                  3
EPRS | European Parliamentary Research Service

Figure 4 – Employment rates for young adults 20-34 years with tertiary education (ISCED
levels 5-8)

 95
 90
 85
 80
 75
 70
 65
 60
 55
 50

                                                                                                                                                                                                                                      Latvia
               Italy

                                                                                 Finland
                                                                       Croatia

                                                                                                                                                                 Poland
                                                                                                                                                       Denmark
                                                                                                              Bulgaria

                                                                                                                                                                                                                         Luxembourg

                                                                                                                                                                                                                                                                            Lithuania
                                            Cyprus
                       Slovakia

                                                                                                                                 Slovenia

                                                                                                                                                                                                                                                                                        Netherlands
                                                                                                                                                                                                                                               Romania
                                                                                                                                                                                                                                                         Germany
                                                                                                                         EU 28
      Greece

                                                                                                                                            Portugal
                                                               Spain
                                                     Estonia

                                                                                                                                                                                    Austria
                                                                                                                                                                                              United Kingdom
                                                                                                     France

                                                                                                                                                                                                               Belgium
                                                                                                                                                                          Ireland
                                  Czechia

                                                                                                                                                                                                                                                                   Sweden

                                                                                                                                                                                                                                                                                                      Malta
                                                                                           Hungary

                                                                                                                            2014                   2018

Source: Eurostat and author's own calculations.
Compared to the total cost of HE study, the amount invested (around €1 700 on average in 2017),
represents a decisive, rather than a high, share. The multiplier effect of this investment is €10 (lowest
estimation) for each €1 invested within 5 years.
According to various (impact) evaluations,8 Erasmus+ students experience significantly less (long-
term) unemployment, with shorter transition periods from education to employment, higher
employment rates, and are more likely to secure management positions.

Potential for further Erasmus+ projects
An important indicator for assessing the potential for further Erasmus+ projects 9 is the success rate:
the relationship between project applications/proposals on the one hand and the share of projects
granted on the other. There is a clear gap in success rates between programmes, from 97 % (HE), to
51 % (VET), 39 % (Adult), 35 % (Youth) and 32 % (School staff). In other words, when applying for a
HE project, the success rate is close to 100 %. In the 'Youth' and 'School staff' fields, however, only
one in three applications is successful, demonstrating at the same time that there is a great deal of
potential for future absorption capacities for these programmes.
Success rates remain an important indicator for greater potential and a higher absorption capacity,
and should therefore continue to be taken into account.
                                                                                                                                Project
                                                                                                                             applications/                                            Projects granted                                                         Success rate
                                                                                                                               proposals
 KA101 School staff                                                                                                                                    9 114                                                              2 914                                                         32 %
 KA102 VET learners and staff                                                                                                                          7 101                                                              3 620                                                         51 %
                                                                                                                                                                                                                                                                       97 %
 KA103 Higher Education                                                                                                                                4 070                                                              3 968
                                                                                                                                                                                                                                                               (EAC = 73 %)*
 KA107 Higher Education partner countries                                                                                                              1 305                                                                   911                                                      70 %
 KA104 Adult Education                                                                                                                                 1 291                                                                   505                                                      39 %
 KA105 Youth                                                                                                                                     17 185                                                                   6 091                                                         35 %
 * In the European Commission Directorate-General for Education, Youth, Sport and Culture (DG EAC) 2017 annual
 report, DG EAC calculated a significantly lower success rate of 73 % for this programme, based on the number of
 participants in submitted projects, which was not the case for the other programmes.
Source: EAC and author's own calculations.

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Impact of the Erasmus+ programme

Of the total Erasmus+ budget, 17 % is dedicated to VET, representing a smaller proportion of the
budget compared to the number of pupils in VET. An increasing VET share and higher success rates
brings Erasmus+ closer to a greater variety of citizens, dealing with a wider range of less academic
domains. The systemic impact is that VET student exchanges help to render the VET institutions –
and VET itself – more attractive.
Actions in the youth field under Erasmus+ have been the most successful in including young people
with fewer opportunities, reaching out to 31 % of beneficiaries by applying inclusive, non-formal
learning approaches. 10
However, there is room for improvement in the participation of disadvantaged groups in KA1:
     There should be greater effort to engage educational organisations that host the most
     disadvantaged;
     Additional funding per participant will be necessary.
Language training should be strengthened, given that the lack of foreign language skills is an
important factor that limits access to transnational activities in general and especially for hard-to-
reach groups.
It is also necessary to respond to criticism, most notably in the field of higher education, that
Erasmus+ is an elite programme.

Priorities for additional funding
The priorities for actions deserving of additional funding, compared to the European Commission's
initial proposals, include aligning EU benchmarks for mobility for higher education (HE) and
vocational education and training (VET). For both HE and VET, 20 % of the students should
experience a period of study or training (including work placements) abroad. For school students, a
similar benchmark should be set.
Furthermore, the Commission wants to double the total budget for Erasmus+ and 'to triple the
number of participants while at the same time introducing qualitative measures and incentives that
would allow to improve outreach to learners with fewer opportunities'. Tripling the budget for
Erasmus+ to match the ambition in terms of numbers would lead to a 3.5 % share of the total
budget.
     The European Commission target to triple the number of participants in Erasmus+
     mobility actions, but only to double the available budget for the next multiannual
     period is unconvincing;
     Tripling the number of participants but only doubling the budget would reduce the
     support per participant (around €1 700 on average for HE and VET in 2017) by a third (to
     less than €1 200). This would create new obstacles for students, who depend on the
     financial support, and contradicts the Commission's intention 'to improve outreach to
     learners with fewer opportunities';
     Support per participant should increase to at least take the cost of living in the coming
     period into account, plus additional support for students with fewer opportunities;
     As far as the total Erasmus+ budget is concerned, tripling the number of mobility actions
     within KA1 makes it necessary to increase the budget for KA1 by at least €20 billion;
     If support for the other programmes (KA2 – KA3) is doubled, a total budget of €46 billion
     would be the necessary minimum funding. According to the intervention logic, KA2 and
     KA3 should also increase, at least to a certain extent.

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EPRS | European Parliamentary Research Service

MAIN REFERENCES
Regulation (EU) No 1288/2013 of the European Parliament and of the Council of 11 December 2013
establishing Erasmus+.
Erasmus impact study on the skills and employability of students and the internationalisation of higher
education institutions, Directorate-General for Education, Youth, Sport and Culture, European
Commission, 2014.
Erasmus impact study: regional analysis, A Comparative Analysis of the Effects of Erasmus on the
Personality, Skills and Career of students of European Regions and Selected Countries, Directorate-
General for Education, Youth, Sport and Culture, European Commission, 2016.
Combined evaluation of Erasmus+ and predecessor programmes, European Commission, 2017.
Mid-term evaluation of the Erasmus+ programme (2014-2020), SWD (2018)40 final, Directorate-General
for Education, Youth, Sport and Culture, European Commission.
Proposal for a regulation of the European Parliament and of the Council establishing 'Erasmus': the Union
programme for education, training, youth and sport and repealing Regulation (EU) No 1288/2013,
COM/2018/367 final, 2018/0191 (COD), European Commission.
Impact assessment accompanying the proposal for a regulation of the European Parliament and of the
Council establishing 'Erasmus': the Union programme for education, training, youth and sport and
repealing Regulation (EU) 1288/2013, SWD/2018/277 final, 2018/0191 (COD), European Commission,
2018.
2017 annual report on intra-EU labour mobility, European Commission, January 2018.
2018 annual report on intra-EU labour mobility, European Commission, February 2019.
Erasmus+ annual report 2017, Statistical annex, European Commission, 2019.
Erasmus+ website – Studying abroad, European Commission, November 2019.
Obstacles to the right of free movement and residence for EU citizens and their families, Policy
Department Citizens' Rights and Constitutional Affairs, Directorate-General for Internal Policies,
European Parliament, 2016.
Free Movement of Workers – The fundamental freedom ensured but better targeting of EU funds would
aid worker mobility, Special report No 06/2018, European Court of Auditors, 2018.
Mobility under Erasmus+: Millions of participants and multi-faceted European Added Value, Special
report No 22/2018, European Court of Auditors, 2018
National Student Fee and Support Systems in European Higher Education 2018/19 – Facts and Figures,
European Commission/EACEA/Eurydice, November 2018
Rubio E., The 'added value' in EU budgetary debates: one concept, four meanings, Notre Europe, 2010.

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Impact of the Erasmus+ programme

ENDNOTES
1
      European Commission Evaluation Roadmap, Mid-term evaluation of Erasmus+, 2018.
2
      European Semester, European Commission.
3
      Education and training 2020, EU benchmarks, Eurostat.
4
      Moreover, it is anomalous that students of the same age can participate in VET mobility, but not as students of
      secondary education under KA1.
5
      EACEA/Eurydice: between €1 000 and €3 000 in Hungary, Italy, the Netherlands, Portugal, Spain and Switzerland
      and more than €3 000 in England and Wales.
6
      European Commission, Combined evaluation of Erasmus+ and predecessor programmes, 2017.
7
      Follow-up to the 2014 Erasmus impact study focusing on a regional analysis of the benefits of Erasmus, 2016.
8
      Erasmus impact study: regional analysis, 2016, European Commission and Mid-term evaluation of the Erasmus+
      programme (2014-2020) SWD/2018/040 final, European Commission, 2018.
9
      'The proposal (...) will reinforce the tried-and-tested actions the impact of which has been evidenced by the
      Erasmus+ mid-term evaluation', regulation of the European Parliament and of the Council establishing 'Erasmus':
      the Union programme for education, training, youth and sport and repealing Regulation (EU) No 1288/2013,
      page 7, 2013.
10
      Erasmus+ annual report 2017, European Commission.

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